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China eyes firewall to protect its tech secrets

China is creating a system to protect its technology, according to state media, as the US restricts access to American technology.

The US has moved to restrict sales to Huawei and other Chinese technology firms on national security grounds. Picture: AP
The US has moved to restrict sales to Huawei and other Chinese technology firms on national security grounds. Picture: AP
AP

China is creating a system­ to protect its technology, according to state media, as the US restricts the access of Chinese firms to American technol­ogy in a spiralling trade dispute.

The People’s Daily said yesterday that the system would build a strong firewall to strengthen the nation’s ability to innovate and accelerate the development of key technologies.

“China … will never allow certain­ countries to use China’s technology to contain China’s development and suppress Chinese­ enterprises,” the main newspaper of the ruling Communi­st Party said, without directly referring to the US.

No details have been released about what China is calling a nationa­l technological security management list. The plan was announced on Saturday evening in a brief, three-paragraph dispatc­h by the official Xinhua News Agency.

The aim is to forestall and defuse national security risks more effectively, Xinhua said, adding that detailed measures would be unveiled in the near future.

The initiative follows US moves to restrict sales to Huawei and other Chinese technology firms on national security grounds.

The US Commerce Department added Huawei last month to its list of entities that are engage­d in activities contrary to US national security or foreign policy interests. As such, any sale of US technology to Huawei will require Commerce Department approval.

China responded by saying its Commerce Ministry would develop­ its own list of foreign entities that it regards as “un­reliable”.

The weekend’s announcement of plans for a technological security management list is clearly related to the unreliable entit­ies list, the state-owned Global Timessaid in an editorial posted online yesterday. It said the act would provide a legal basis to manage technology exports and counter American supply cut-offs to some Chinese companies.

“Since 2018, the US has repeated­ly drawn on its domestic law to exert pressure on Chinese hi -tech enterprises,” the ­English-language editorial said.

“China’s counter-measures against the US require more legal weapons.”

AP

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Original URL: https://www.theaustralian.com.au/world/china-eyes-firewall-to-protect-its-tech-secrets/news-story/c0429c1a409134389025ba6dba133554